The use of books and tools in network marketing is controversial because so many
people have been financially and emotionally hurt by abuses by some distributor organisations.
They join an organisation and find themselves pressured into signing up for monthly
standing orders for books, tools and training events, whether they need or want them
or not.
They justify this practice on the grounds that distributors need these tools and
events in order to learn what to do, and to be motivated and inspired to succeed.
Frankly, this claim wouldn't ring so hollow if so many of the upline leaders didn't
earn so much money from the sale and distribution of these books, tools and training
events. There's a clear conflict of interest in this situation.
Most companies sell a basic range of proven training and sales aids at reasonable
prices. No-one earns any kind of bonus on these purchases. That's fair and reasonable
— they're provided to help distributors improve their knowledge and skills, their
productivity and profitability. But, unless the distributors can translate these
purchases into tangible results — more product sales and more new distributors
sponsored — they're a waste of money, time and effort.
Here's The Profit Clinic's official position on the sale of books, tools and
training events:
In free enterprise — of
which network marketing is the most enlightened, ethical, efficacious, equitable
and egalitarian form — there are NO rewards for activity, only for results. Intelligent
activity should be recognised, but it must only be rewarded when it
produces measurable results.
In network marketing, the distributor earns commissions and bonuses on the sale to
customers of products and services.
They can leverage these earnings by sponsoring other distributors to sell products
and services to customers and training and supporting them to do the same. In return,
the company pays them bonuses on the increased group volume that these activities
produce. So sponsoring is nothing more than an activity, not a result. This
is why it's illegal to be rewarded for the act of sponsoring. Until the sponsored
distributor produces profitable sales of products and services (not just personal
consumption as a wholesale buyer), there is NO leverage in sponsoring.
As part of the training and support provided by upline leaders and sponsors, books,
tools and training events may be provided for distributors. These
should be optional and they should be provided at the lowest possible cost.
We support the principle of "user pays", but we also endorse the
principle that the real rewards for upline leaders should come from an
increase in bonus earnings created by increased group volume which is
produced by the use of those books, tools and training events.
This makes upline rewards dependent upon their downline distributors being able to
benefit from those books, tools and training events in practical terms. In other
words, it makes the upline accountable for any additional costs and imposts on
their downline. It serves as an important set of checks and balances against
abuses by upline leaders.
In harmony with this position, The Profit Clinic will NOT pay commissions on its
books, tools and training events to upline leaders. Instead, we'll negotiate
fees and prices on quantity orders that reflect any savings to us in marketing costs
so that the benefits are passed directly to the people actually paying for them
— the downline distributors. These special prices to downline distributors MUST be
passed on, and MUST be independently verifiable by us. Penalties for breaching this
arrangement by upline teams will apply.
As publishers of quality books and tools, and providers of quality training events,
we view this as the only position that allows us to maintain our integrity, without
compromise.
Beware of monthly
standing orders for books, tools and training events We've been around
network marketing for more than 25 years. We're authors, trainers and
publishers of books and tools for network marketers. It would earn us more
profit if we could get people to commit to buying our books, tools and training every
month. (In the short term, at least.) But here's what we've learned during those
25+ years...
NOBODY
in network marketing needs a monthly standing order for books, tools and training
events.
The promoters of monthly
standing orders for books, tools and training events will typically tell you that
you need these things in order to gain the knowledge and skills you need to
be successful in your business, and to stay motivated.
Well... that's all true — up to a point! Yes, you need knowledge and skills. And
yes, you need to stay motivated. And there's no question that the right books, tools
and training events will help you achieve success and stay committed to building
your business.
BUT... do you really NEED to buy them every month? Or should you buy them
WHEN you NEED them?
Everything in life is a delicate balance between quantity and quality.
Even life itself... who wants to live to 120 if you'll be on life support system
for the final 50 years? Or who wants the most fabulous wealth and lifestyle if you'll
die within a week of achieving it? And then, when we die, we all want to live forever
(quantity), but we want to go to heaven, not to hell (quality)!
Most success in life relies on achieving the right balance, because
until you can achieve true balance, you can never have true leverage.
Balance is the starting point for leverage.
So let's apply this to monthly standing orders...
A monthly standing order program is all about quantity. It's about getting
as many people as possible to buy the same books or tools, or to attend the
same training event, every month. That's how the publishers of books and
tools get the unit cost of those items down to the bare minimum. Or how the organisers
of training events get the cost per person down to rock bottom. But here's the real
question you need to ask yourself...
Do YOU pay any less
for those books, tools or training events?
Or, if you do, does the price you pay reflect the real savings?
Or is the real benefit
of those savings that your upline makes more money from the purchases of all those
downline people?
But what about quality? Don't the books, tools and training events offer good
quality?
Here's the problem with CONTRACTED CONTENT, whether it's books, tools and
training events — or television series, Internet programs or anything else where
you enter into a contract with someone to provide content on a regular basis...
The content provider climbs onto the proverbial tiger's back. If they don't produce
the food on time, every time, they get eaten!
When the priority is providing the goods on time, every time, we're talking about
QUANTITY. When quantity is the first priority, quality is the first
thing to go out the window. We're all familiar with new television series every year.
The pilot is brilliant. So are the first season's weekly programs. But, when the
writers have to come up with interesting, exciting new plots and twists every week,
season after season, what happens?
Yep... the quality begins to deteriorate. And the deterioration accelerates,
faster and faster.
Do you honestly think that a monthly standing order for books, tools and training
events is any different?
If you do, look around. Talk to the people already signed up for those standing orders.
And not your upline team, either... they have a vested interest in putting a positive
spin on their answers! Try auction sites like eBay.com and search for
those books and tools. There's a very strong chance that you'll find them there at
a fraction of the price your upline leaders want you to pay. (Most listings are from
people in these organisations who finally decided that they can no longer afford
standing monthly orders.) But what about motivation? Don't you need to stay motivated to keep on
building?
The absolutely BEST motivation you'll ever have for continuing in network marketing
is very simple... a worthwhile, guilt-free bonus payment every month!
Unfortunately, most people in network marketing aren't enjoying that. More than 90%
of them, in fact. Put yourself in the shoes of those upline leaders whose people
aren't finding success themselves, but who provide YOU with regular, monthly income.
How do you keep them active and committed, month after month?
Simple... you lock them into monthly "motivational" books, tools and
training events! And make sure you earn a kick-back on their purchases!
Unfortunately, "motivation" based on emotional manipulation doesn't last.
Worse still, it actually does damage to the people plugged into it regularly. And,
ultimately, it damages YOU and your credibility. Learn more from
this eye-opening article...
If anyone
says you DO need a standing monthly order for books, tools and training events, it's
almost 100% certain that THEY will make money off YOUR purchases!
They have a vested interest
in getting you to sign up for that standing monthly order! This is a blatant conflict
of interest. Their real motive for signing you up is NOT to help you succeed.
It's to boost their personal earnings each month for as long as possible
at your expense!
The Profit
Clinic does NOT endorse business opportunities appearing in advertisements on this
site. Be sure to do your due diligence. Profit Clinic Text Ads
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